Managing EU Funded Projects

1
Managing EU Funded Projects

• Riga 19-21 December 2005

2
Basic Logics and the Project Cycle

• Søren Adamsen

3
Project Characteristics

• Specific objective
• Time bound
• Action plan controlled
• Milestones
• Seperate budget
• Own management structure

4
Projects in Local Authorities

• The concrete way to make plans (strategies)
  happen
• Popular way of branding all non-routine
  activities
• Widely used way of distributing funding
• EU countries key concept, since projects is the
  way the various EU programmes are made operational

5
The Project Cycle Introduced

• Method for project development and management
• Breaks project management process into phases
• Often integrated with Logical Framework Approach
• Mainly aimed at management of larger scale
  programmes (country or regional level)
• Adapted to local authority reality
• European Commission official approach since 1992

6
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
7
Project Cycle Outcome

• Compliance to overarching policy objectives of
  funding sources
• Compliance to own strategy
• Criteria of feasibility
• Criteria of sustainability

8
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
9
The strategic context of a project

• The establishment of general guidelines and
  principles for EU co-operation with a country
• Structural Fund SPD Latvia
• Local Authority context
• Your own strategy
• Taking overall priorities (EU and national) into
  account defining your priorities
• Projects the way you make your strategy
  operational
• Normally revised at least once for each election
  period
• Covering 2-5 years
• Allignment with Structural Fund programming
  documents essential

10
Strategy Definition

• Broad and general plan developed to reach long
  term objectives, focusing on actions for each of
  the functional areas.
• Strategy expressed by
• Vision
• Objectives
• Strategies
• Tactics

11
Why strategy ?

• Communication
• Prioritisation
• Basis for monitoring performance
• Formal requirement

12
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
13
The project identification phase

• Or how a project is born
• What triggers a project
• An analysis by the applicant showing the
  importance of a given activity to meet a
  strategic end ?
• The sheer existence of money you may get your
  hands on ?
• Long term sustainability of regional development
  effort needs projects to depart from a strategic
  basis.

14
Project identification

• Within your overall strategy, problems, needs
  and interests of possible stakeholders are
  analysed and ideas for projects are identified.
• Outcome of stage
• Pre-feasibility study
• Project identification sheet

15
Project IdentificationPartnerships

• Partnership a key principle in the Structural
  Funds
• Normally need partnerships in projects to
  demonstrate cooperation
• Commit your key partners to the project early
• Look for a project ambassador

16
SFA Analysis

• Way to evaluate various strategic / project
  options.
• Suitability
• Does the project actually solve your problem?
• Feasibility.
• Will you be able to implement the project?
• Finances
• Human ressources
• Time wise
• Technology
• Acceptability
• Will your key stakeholders accept the project ?

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Project GenerationThe Outcome

• A project synopsis (project generation sheet)
  your project business card
• 2-3 pages
• Project aim
• Partnership basics
• Output
• Budget idea
• Format fx Log Frame PM

18
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
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The appraisal

• Where you actuallly begin writing in the
  application form.
• Writing of the project draft based on a process
  including
• Feasibility study (if relevant)
• Stakeholder consultation (partnership)
• Logical Framework

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Project DescriptionBest Practice

• Aim of project/Project begins
• Make your case demonstrate your project logic
• What is the problem
• Why is it a problem (justify)
• How can you solve the problem
• What will be the result

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Project Description

• Project organisation
• Local partnership
• Maximise local impact
• Signal local unity
• International partnership
• Build a network
• Continuity builds mutual trust

22
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
23
Financing

• The phase where the decision is made whether or
  not to fund the project
• The phase where you may have to make ammendments
• The phase where you are contracted
• Process outside your control
• Can you affect it ?
• Selling your project
• Lobbying

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FinancingContracting

• The selection process
• Additional information
• The contracting
• Conditions of award
• Partnership embedment
• Room for negotiations
• Contract
• Signing authority
• Implementation
• Project start date
• Expenditure start date

25
FinancingRejection

• Use rejection as a mean for improving your next
  project
• Reasons for rejection
• Dialogue with donor
• Dialogue with partners (openess)

26
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
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The project organisation

• Steering committee
• Project management/direction
• Project manager
• Deputy manager
• Procurement manager
• Financial manager
• Assistants
• Project specialists
• Attached to parts of project only
• External consultants

28
Project implementationMajor tasks to be managed
by project management

• Preparing tender documents for service, work and
  supply contracts
• Monitoring of implementation, suggesting
  corrective measures
• Facilitating communication and information flow
• Manage evaluations and audits
• Ensuring successful decison making process
  regarding potential further phase of project

29
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
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EvaluationThe difficult project closing.

• Difficult stage
• Commitment of team members
• Important tasks
• Handing in final report
• Evaluating project
• Making sure last tranche is received

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EvaluationCriteria

• Relevance
• Appropriateness of project objectives to the
  problem it was supposed to address and to the
  environment in which it operated, incl project
  design.
• Efficiency
• To what extent the results have been achieved at
  reasonable cost.
• Efffectiveness
• How well the project have made it possible to
  achieve project purpose and how assumptions have
  affected project results
• Impact
• The effect of the project of meeting its
  overarching objective.
• Sustainability
• Will the project benefits continue to flow after
  project funding end ?

32
ImplementaionAudit

• The check on whether financial operations and
  statements are in compliance with legal and
  contractual obligations
• Compliance driven / verification of financial
  records
• Undertaken by external auditors
• Normally as part of final report

33
The Project Cycle.
Programming
Evaluation
Identification
Appraisal
Implementation
Financing
34
Lobbying as a concept

• Søren Adamsen

35
Lobbying

• Selling your opions and ideas to the
  decision-makers
• Old concept, developed to perfection in the USA
• Europe concept connected to the European Union
  legislation and project selection process
• Happens everyday in all political systems all
  over Europe

36
Lobbying basic ideas.

• The lobbying instrument
• Why lobbying
• Demonstrate commitment
• Accepted appproach in EU system
• Get your project on agenda (political component)

37
Lobbying and the EU

• Lobbying is performed by everyone
• National state lobbying
• Region lobbying
• Municipal lobbying
• Company lobbying
• Interest organisations lobbying
• NGOs lobbbying
• Lobbying accepted even institutionalised - as
  input to the legislative process

38
LobbyingStrategic and tactical lobbying

• Søren Adamsen

39
What to lobby ?

• Legislative lobbying
• Making new EU legislation take your ideas into
  account
• Project lobbying
• Making sure the decision makers are aware of your
  project and your sincerity about the project

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Lobbying new legislation

• The traditionel lobbying objective in Brussels
• Objective to intervene and penetrate the
  legislative process of the European Union
• Explaining position to EU decision makers and
  trying to make them adapt position accordingly
• Often process pivoting around central EU
  institutions in Brussels
• Often long-term process with objective of
  changing one paragraph in legislation (example
  The Brussels lobbyist and the struggle for
  ear-time)

41
Legislative lobbying methods

• Direct lobbying
• Gain representation in EU working groups
• Meet with decion makers or main influencers
• Indirect lobbying
• Influencing the decison makers though the media

42
Decision-making in the EU, and methods and
timescale for lobbing
Rapporteur CoR
Committee of the Regions (CoR)
The Council / European Parliament
Meeting EC Present position paper
European Commission (EC)
European Parliament (EP)
Meeting EP Present readymade amendments
2nd Meeting
The Economic and Social Committee (EcoSoc)
Preparation of Proposal
Proposal Adopted EC
1st and 2nd reading in EP Consultation in CoR and
EcoSoc
Adoption Council / EP
Timescale in decision-making process
43
Lobbying for regional interests

• Traditional lobby proces
• Organised around Commission yearly legislative
  process
• 1. Scan of list of new legislation planned
• 2. Selection of themes of high importance to
  region
• 3. Meet with relevant officer in Commission,
  before proposal officially proposed by Commission
• 4. After Commission approval contact to MEPs
  with ready made ammendment proposals
• 5. Same time approach Com. of Regions to affect
  COR opinion expressed
• 6. Process supported by national process
  approaching national position in Council and
  Council Working Groups
• 7. Proces may also be supported by EU wide
  associations such as Assembly of European Regions

44
Legislative lobbyingNatural Effects Regions

• Issue
• Regions affected by new SF (loosing eligibility
  to objective 1) due to natural effects (GDP level
  too high)
• Border Midlands and Western Region (Ireland)
• Valencia and Castilla y Leon (Spain)
• Merseyside and South Yorkshire (UK)
• Central Hungary (Hungary)
• Burgenland (Austria)
• Commission proposal to phase in to objective 2.
• Regions prefer to phase out of objective 1.

45
Legislative LobbyingNatural Effect Regions

• Lobbying process
• Initaited and coordinated by Valencia.
• Regional Offices in Brussels met at a regular
  pace and agreed on strategy
• Declaration forwarded to relevant Commissioners,
  Member States, MEPs, EU Presidency (May 04),
  setting out and explaining position
• Meeting with Danuta Hübner, Comm Reg. Pol (June
  04)
• Proposed ammendments forwarded to COR (June 04)
• COR representative speaking on behalf of regions
  when Commisioner visited COR Plenary (Autumn 04)
• Meeting with EP Rappourteur on subject and
  presentation of ready made ammendments (Autumn
  04)
• Coordinated campaign towards other MEPs.
• Compromise ammendments based on ammendments from
  regions adopted by EP (Spring 05)

46
Legislative lobbyingNatural Effect Regions

• Lobbying outcome
• Commission and Parliament supporting the wish of
  the regions
• Status will formally be phasing in to objective 2
  but they will be allowed to use the criteria of
  objective 1
• Gain worth millions of for the regions involved

47
Lobbying for regional interests

• Strategy
• General strategic recommendation to enter process
  as early as possible
• Operate on your own or building coalitions ?
• Consider case example and work in groups to find
  3 good arguments for lobbying in coalitions and 3
  good arguments against (15 minutes).

48
Project lobbying

• Objective to promote own project in competition
  with other projects
• Relevant normally for regional/local authorities
  and consultants
• Due to deconcentration and decentralisation
  pivoting more and more around structures in
  member countries and supported countries
• Still significant number of programmes run
  directly from Brussels

49
Project lobbying methods

• Direct lobbying
• Gain support from national representatives
• Meet with decision makers or main influencers
• Indirect lobbying
• Influencing the decison makers though the media
  and communication flows (newsletters etc)

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Project lobbyingNothing beats the good project

• Make sure your project in itself is good
• project logic (justification)
• motives clear
• project team
• budget sound
• Nothing beats a good project design..
• The best stepping stone for a succesful lobbying
  process

51
The project lobbying process

• Ideal process would include the following
  elements
• Project identification (meet with management
  agency/task manager to discuss basic project
  outline)
• Project appraisal (writing). (meet with
  management agency/task manager to discuss
  technical issues undertake indirect lobbying
  promoting project idea in newsletters and press)
• Project financing (project submission) (inform
  national/regional stakeholders about project and
  make them support idea maintain media campaign)

52
Performing the lobbying

• Who should you target with your lobbying efforts
  ?
• Analyse the decison making structure
• Tacis CBC SPF decision making
• Compliance check (Management Agency)
• Expert panel (Independant experts)
• Interservice consultation (EU institutions)
• National consultations (Coordination Units)
• Decision making (Tacis Committee)

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Performing the lobbying

• Power/Interest Matrix

54
Performing the lobbying

• Who should do the lobbying ?
• Depend on the target group
• Politicians on politicians
• Technicians on technicians

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Institutionalising LobbyingEU Offices

• Søren Adamsen

56
Institutionalising the lobbying effort

• Brussels based lobbying
• National state lobbying through EU delegations
• Regional and municipal lobbying through
  Representation Offices or Associations
• Companies lobbying through own Brussels offices
  or dedicated lobbyists

57
Institutionalising the lobbying effort

• The regional and muncipal lobbying
• More than 220 Regional Brussels Offices
• Grown rapidly since start mid 80ies, fueled gain
  by enlargement in 2004
• Topscorers
• UK 34 offices
• Italy 29 offices
• Germany 26 offices
• France - 25 offices
• Spain 21 offices
• Denmark 13 offices
• Finland 9 offices
• Sweden 9 offices
• Latvia 2 offices
• Liithuani 1 office.

58
Structure of offices

• The individual office
• Representing one territorial entity
• Varies in size and scope from 23 to 1 employee
• Example Bayern, Aarhus and many others
• Consortia of authorities
• Common offices for regions, typically sharing
  interests and have factors in common (geography)
• Typically working with as well lobbying as
  information services
• Example Hanse Office, North Jutland and many
  others
• CBC office
• Authorities sharing a border and a joint EU
  representation office
• Example B7 (BSR islands), Tyrol/Alto-Adige/Trenti
  no and Southeast Finland/St. Petersburg
• Associations
• National associations of local or regional
  authorities
• Extension of national lobbying realising that
  much legislation now initiated in Brussels
• Normally not lobbying individual issues for
  single regions/local authorities

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Structure of offices

• House of.
• Trend that Regional EU Offices group in common
  premises
• Still having own offices
• Sharing facilities
• Examples
• House of Slovak Regions
• South Denmark House
• House of Associations

60
Tasks

• Tasks and focus varies
• Information.
• Gathering intelegence and new information
• EU legislation and new funding opportunities
• Representation.
• Cultural and social embassy for region (shopping
  window)
• EU-Fund raising.
• Assisting stakeholders from region gaining
  funding
• Partnersearch
• Participate in Commision programme briefings
• Writing applications
• Managing projects

61
Tasks

• Lobbying
• Ambition towards lobbying differs widely among
  offices
• Ressources and size off offices linked to
  ressources and size of regions and hence
  European ambitions of region
• Baltic Sea Regions apart from Germany normally
  limiting lobbying to project lobbying, leaving
  legislative lobbying to association

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LobbyingThe Ethical Stance

• Søren Adamsen

63
LobbyingThe Ethical Stance

• Is lobbying all right ?
• Divide in 2 groups and develope 3 arguments for
  lobbying (group 1) and 3 arguments against
  lobbying (group 2).